Note 6: Employee Benefit Plans

9 Months Ended

Sep. 30, 2011

Notes to Condensed Consolidated Financial Statements [Abstract]

Note 6: Employee Benefit Plans

Note 6: Employee Benefit Plans

Pension and Postretirement Plans. We sponsor both funded and unfunded domestic and foreign defined pension and other postretirement benefit plans, and defined contribution plans. Contributions to these plans were as follows:

	Quarter Ended September 30,				Nine Months Ended September 30,
(Dollars in millions)		2011		2010		2011		2010
Defined Benefit Plans	$	627	$	438	$	697	$	949
Defined Contribution Plans	$	52	$	46	$	165	$	142

In the first nine months of 2011, we made contributions of $606 million to our domestic defined benefit pension plans, all of which was contributed in the third quarter of 2011. Included in the total domestic contributions was a $450 million contribution of UTC common stock. In the first nine months of 2010, we made contributions of $801 million to our domestic defined benefit pension plans, including $350 million which was contributed in the third quarter of 2010. Included in the total domestic contributions made through the first nine months of 2010 was a $250 million contribution of UTC common stock in the second quarter of 2010.The following tables illustrate the components of net periodic benefit cost for our defined pension and other postretirement benefit plans:

	Pension Benefits				Other Postretirement Benefits
	Quarter Ended September 30,				Quarter Ended September 30,
(Dollars in millions)	2011		2010		2011		2010
Service cost	$	111	$	99	$	1	$	1
Interest cost		325		321		9		11
Expected return on plan assets		(458)		(430)		-		-
Amortization		(2)		(4)		-		(1)
Recognized actuarial net loss (gain)		116		71		(2)		-
Net settlement and curtailment loss		-		-		-		-
Total net periodic benefit cost	$	92	$	57	$	8	$	11
	Pension Benefits				Other Postretirement Benefits
	Nine Months Ended September 30,				Nine Months Ended September 30,
(Dollars in millions)	2011		2010		2011		2010
Service cost	$	333	$	297	$	3	$	2
Interest cost		975		963		29		34
Expected return on plan assets		(1,372)		(1,289)		-		-
Amortization		(8)		(12)		(2)		(2)
Recognized actuarial net loss (gain)		347		213		(6)		(1)
Net settlement and curtailment loss		13		17		-		-
Total net periodic benefit cost	$	288	$	189	$	24	$	33